ASIA AVTO may sell to AvtoVAZ 25 %+1 share at expense of additional emission

/INTERFAX-KAZAKHSTAN, Ust-Kamenogorsk, May 29, 08/ - Automobile assembly plant ASIA AVTO (East Kazakhstan region) intends to sell a blocking shareholding to Russian AvtoVAZ OJSC. "Shareholders of Kazakhstan plant ASIA AVTO consider the possibility of selling a blocking shareholding of the plant - 25 %+1 share as a way to enter in strategic partnership with one of its suppliers, the AvtoVAZ-Renault-Nissan group", - Rosa Baygazanova, the PR and Ad managing director of BIPEK Avto (official distributor of AvtoVAZ in Kazakhstan and initiator of plant establishment) informed Interfax-Kazakhstan agency. Meanwhile, Boris Aleshin, the president of AvtoVAZ group informed that AvtoVAZ intends to purchase 50 % of ASIA AVTO. "For the purpose of development of the project, the deal is planned to be realized by means of additional shares emission, selling it to a new shareholder" - Baygazanova remarked. According to Baygazanova, as soon as the deal is concluded, the plant is planned to launch stamping, welding, and coloring before 2015, and increase production ratios to 120,000 vehicles a year. The automobile plant ASIA AVTO has been operating since 2003, having fixed an assembling Russian AvtoVAZ NIVA automobiles. In June 2005, ASIA AUTO produced a pilot squad of Skoda Octavia, in August, the representatives of Check concern Skoda Auto and the BIPEK Avto Holding management signed an agreement on full-scale production of Skoda on ASIA AVTO plant. Meanwhile, in June 2007 ASIA AVTO started assembling of three new Chevrolet models: subcompact car Chevrolet Lacetti, executive car Chevrolet Epica and all-wheels drive off road Chevrolet Captiva. GM Daewoo delivers component parts for assembling of the vehicles. [2008-05-30]